Scania AB (SCVB), the Swedish truckmaker controlled by Volkswagen AG (VOW), asked shareholders to wait for a board committee’s review before accepting the German car manufacturer’s offer to buy the rest of the company.
“The committee recommends all shareholders not to take a final decision until all relevant information is available,” Soedertaelje-based Scania said today in a statement.
VW, the world’s second-biggest carmaker, is bidding 6.7 billion euros ($9.2 billion) for the stock that it doesn’t already own. The Wolfsburg-based auto producer wants to create a global heavy-truck business by having its MAN SE (MAN) division and VW commercial-van unit cooperate more closely with Scania.
The independent panel of Scania’s board, which has hired Deutsche Bank AG (DBK) and Morgan Stanley (MS) as financial advisers and Mannheimer Swartling as legal adviser, hasn’t set a date for completing the review.
The committee “has noted that Volkswagen does not foresee any significant changes with regards to Scania, and that Scania’s headquarters and its development centers will remain where they are,” Peter Wallenberg Jr., a board member, said in the statement. “These matters are of course of importance to the company and for Sweden.”
VW owns 75 percent of Munich-based MAN, and the German manufacturers together hold 62.6 percent of the equity and 89.2 percent of the voting rights in Scania. Volkswagen is also seeking to buy full control of MAN, with its bid hampered by lawsuits from investors seeking a higher price. VW’s offers for the two truckmakers value them at a combined 29.3 billion euros.
A combination of MAN and Scania would overtake Gothenburg, Sweden-based Volvo AB (VOLVB) as the world’s second-biggest maker of commercial vehicles. Stuttgart, Germany-based Daimler AG, the owner of the Mercedes-Benz, Freightliner and Fuso truck brands, ranks first in the industry.
To contact the reporter on this story: Tom Lavell in Frankfurt at email@example.com